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Cisco (CSCO) chief John Chambers suffered a 31% bonus cut in fiscal 2005, leaving him with just a $1.3 million payout.

Members of Cisco's compensation committee likely took into consideration such things as the company's stock performance. For the fiscal year which ended on July 30, Cisco shares dropped 8%. During that same period a year ago, Cisco shares gained 9%. As a result, Chambers' bonus fell from last year's $1.9 million payout.

To be sure, Chambers isn't going hungry. The CEO recently wrapped up a full year of

planned stock sales, reaping $75.7 million. After the cost of exercising the options, Chambers netted about $52.8 million on the year.

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A year ago, the computer networking executive had his $350,000 annual salary reinstated and his

bonus plan revived after he volunteered in 2001 to forgo salary and bonuses during the industry downturn.

Cisco has been stuck in a sales rut lately as corporate IT spending stagnates and big new growth markets remain elusive. The current top line growth projections for fiscal 2006 call for a 10%-15% increase, a dramatic decrease from Cisco's 40%-plus growth era during the Internet building boom.

On Friday, Cisco rose 17 cents to $18.54.